The National Association of Insurance Commissioners is continuing to look at internal controls reporting requirements for non-public insurers.[@@]
An NAIC working group will convene Wednesday in Orlando to discuss proposals to impose Sarbanes-Oxley-like regulations on mutual insurers and privately held insurers.
“Much of the industry does not want this,” says William Boyd, financial regulation manager for the National Association of Mutual Insurance Companies, Indianapolis. “What we have stressed again and again is that regulation of insurance is already stronger than that applied to public companies and that regulators need to justify, via specific cases and cost-benefit analysis, what they propose to do.”
The effort by the Kansas City, Mo.-based group to impose SOX-like rules has been spearheaded by Virginia regulator Doug Stolte, co-chair of the NAIC-AICPA liaison panel. He and other regulators have argued that non-public insurance companies need to be held to the same standard of reporting as all public companies.